COVID-19 // Economic Stimulus + Survival Guide

Posted on April 2, 2020

The Federal Government and State Government have together announced multiple stimulus packages to help support everyone affected by Covid-19 [Corona Virus]. With that in mind, we want to try to provide you with a brief and up-to-date rundown of the benefits for individuals and Small to Medium Sized Businesses [SME’s]. Please note that this is not exhaustive, and we have provided links to original Government releases, so you can double check all information and keep abreast of developments.

March 2020

Businesses with turnover of less than $50M who employ workers will be eligible for the “Boosting Cash Flow for Employers Package”. All employers will receive a minimum payment of $10,000 [increased from the initial $2,000 announced in mid-March] and the maximum is calculated as 100% of the PAYG withholding withheld from employee wages up to a maximum of $50,000. The amount is calculated on PAYG withheld between January and June 2020 and calculation varies depending on how often you lodge your activity statements.

The Victorian Government has announced that SME’s with a yearly payroll of less than $3M, will be provided with 12 months Payroll Tax relief. Businesses that currently pay payroll tax [ie. business with payroll, including superannuation, of greater than $54,166 per month] will receive a refund to their bank account of any payroll tax paid for the period 1 July 2019 to 29 February 2020. In addition, there will be no further payroll tax payable up to 30 June 2020. The Victorian Government advises that refunds will be accessed by 27 March 2020 https://www.premier.vic.gov.au/economic-survival-package-to-support-businesses-and-jobs/.

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